Another Oil-Backed Cryptocurrency Launches

New York-based investment and holding company Signal Capital Management said on Monday that it had launched a cryptocurrency backed by oil and gas reserves in what it says is the “world’s first globally compliant” oil-backed digital currency. The new digital currency, PetroDollars, will be backed by the underlying value of recoverable reserves of crude oil and equivalents such as natural gas and condensates, and related assets. This is not the first oil-backed digital currency in the works, not counting Venezuela’s El Petro cryptocurrency attempt to skirt U.S. financial sanctions. In December 2017, a team of banking and technology managers and former U.S. regulatory commissioners said that they were launching the world’s first regulatory compliant cryptocurrency backed by a physical asset— OilCoin , which would be based on oil reserves. Now PetroDollars—“a globally compliant digital reserve currency” as its proponents bill it—is undergoing a regulatory-compliant private placement of PetroDollars tokens […]